Technical error in shipping address on auto-populated e-way bill cannot justify seizure or penalty – Supreme Court { Additional Commissioner Gr.-2 V/s Zhuzoor Infratech Pvt. Ltd. (2025) 34 Centax 228 (S.C.)}
Facts:
- Assessee ordered 16mm TMT Bars with invoice billed to assessee and delivery at New Delhi.
- E-way bill was auto-populated by GST portal, but it incorrectly showed the shipping address as West Bengal.
- Goods were intercepted only discrepancy was mismatch of shipping address between e-way bill and invoice.
- No issue found with quality or quantity of goods e-way bill not cancelled within validity period.
- High Court quashed seizure/penalty, holding it was only a technical error.
Issue:
- Whether a technical error in the shipping address on an auto-populated e-way bill can justify seizure of goods and penalty.
Held:
- Supreme Court dismissed the Revenue’s SLP.
- Held that technical errors in auto-populated e-way bill (like shipping address mismatch) cannot justify seizure or penalty when no tax evasion or other discrepancies exist.
- Purpose of e-way bill is only to track movement of goods for tax assessment, not to penalize for portal-generated mistakes.
